2007 Budget Headlines Two Full Time positions reduced to Part Time One Part time position eliminated Effective collective bargaining negotiations – Total Salaries increase less than 2% Effective Health Insurance negotiations along with negotiated plan design changes yield increase well below trends (4.9%) State Aid increases for the first time since The modest $84,686 increase is offset by approximately $60,000 the Town will pay due to the State imposed 7% sales tax on parking revenues. Average assessed home in Westfield in 2007 equals $181,500. Municipal budget represents an increase of $9.91/month on average assessed home.

2007 Budget Challenges Additional Pension Contributions = +$556,980 (62.8%) Additional Assessment from RVSA = +$221,300 (11.1%) Increases in Fuel and Utility Costs = +$45,000 (7.2%) Increase in Group Health Insurance = +$175,000 (4.9%) Salary Increases = +$313,714 (1.9%) Public Library Increase = +$258,842 (12.4%) Debt Service Increase = +$191,600 (14.3%) Animal Control Services = +$25,000 (71.4%) Leaf, Brush, Grass & Tree Service Costs = +106,000 (50.2%) Reserve for Uncollected Taxes = +$50,000 (2.8%)

2006 Total Tax Collections $112,634,071.23

2007 Appropriation Breakdown

2007 Appropriations Statutory/Required Expenditures PERS+ $113,000 (93.5%) PFRS+ $436,300 (57%) Library + $258,842 (12.4%) RVSA+ $221,300 (11.1%) Group Insurance+ $175,000 (4.9%) “Budget Busters”

Did You Know… The Municipal Budget includes appropriations for: Street Lighting$295,000 Public Fire Hydrants$480,600 Senior Transportation Services$102,270 School Crossing Guards$448,000 Reserve for Uncollected Taxes$1,840,000

2007 Revenue Breakdown Revenue Sources - Property Taxes - State Aid - Miscellaneous Revenue - Grants (offset by appropriations) - Fund Balance

2007 Revenue Breakdown

Did You Know… Anticipated Revenue Sources include: Municipal Court Fines and Fees$590,000 Parking Permits, Meters & Pay Stations$1,700,000 Building Department Fees$950,000 Interest on Income & Investments$680,000 State Aid$4,569,589 Delinquent Taxes$975,000 Fund Balance$4,000,000

Tax Calculation Formula Total Appropriations$36,020,729 minus Anticipated Revenues$15,838,776 equals Local Purpose Tax$20,181,953 divided by Total Assessed Value$1,864,139,453 equals Local Tax Rate1.083 per $100 assessed value

Tax Cost Comparison 2006 Average Assessed Home = $179, Average Assessed Home = $181, *Inc. County Tax$2,271$2,409+ $138 School Tax$6,820$7,120+ $300 Local Tax$1,847$1,966+ $119 Total Tax$10,938$11,495+ $557 (5.1%) * 2007 Tax Costs Estimated

Continued Examination … Capital Improvement Plan Management of Debt Service Strategies to manage RVSA assessments Group Health Insurance premiums Contract Negotiations Shared Services Revenue Sources

Increases for 2008 Budget Additional 20% increase in Pension Contributions (PFRS 100%, PERS 80%) Additional Assessment from RVSA Increases in Fuel and Energy Costs Group Health & Casualty Insurance Union Contracts Continuation of Services (Leaf Collection, Snow Removal, Street Lighting, Recycling, Police & Fire Services, Conservation Center, Infrastructure Improvements, etc…)

2007 Budget Challenges Met Health Insurance Costs Reduced by Effective Contract Negotiations Staffing Levels decreased where possible. 2 F/T positions reduced to 2 P/T positions and 1 P/T position eliminated Effective management of revenue sources to maintain and increase income to reduce tax burden Comprehensive examination of total budget producing real savings in all departments